Valens GroWorks (TSXV: VGW) (OTCQX: VGWCF) has entered into a five-year, white-label cannabis-infused beverage contract with the cannabis division of Iconic Brewing.

Under the white label agreement, Valens will provide high-quality extracts, formulation services, and SōRSE emulsion IP for its cannabis-infused beverages. Whereas, Iconic will brand and market the final product across Canada.

Under the terms of the agreement, a minimum of 2.5 million cannabis-infused beverages will be produced over five years with the opportunity to expand on the partnership with new product offerings in the near future, according to Valens statement.

The partnership with Iconic Brewing will help Valens “create their new line of cannabis-infused beverages,” stated Valens CEO Tyler Robson.

“Their ability to formulate and forecast trends is second to none, as demonstrated by the success of their current beverage products including Cottage Springs Vodka Soda, Picnic Wine Co, Liberty Village, and Cabana Coast. To service this agreement, we will be using our proprietary emulsion solution, SōRSE™ Technology, which creates oil-based ingestible products, including beverages, that offer a consistent experience with fast onset and offset,” Robson added.